Solved

REFERENCE: Ref.05_05 Gargiulo Company,a 90% Owned Subsidiary of Posito Corporation,sells Inventory to Inventory

Question 43

Multiple Choice

REFERENCE: Ref.05_05
Gargiulo Company,a 90% owned subsidiary of Posito Corporation,sells inventory to Posito at a 25% profit on selling price.The following data are available pertaining to intercompany purchases.Gargiulo was acquired on January 1,2009.
REFERENCE: Ref.05_05 Gargiulo Company,a 90% owned subsidiary of Posito Corporation,sells inventory to Posito at a 25% profit on selling price.The following data are available pertaining to intercompany purchases.Gargiulo was acquired on January 1,2009. Assume the equity method is used.The following data are available pertaining to Gargiulo's income and dividends. -Compute the income from Gargiulo reported on Posito's books for 2010. A) $76,500. B) $77,130. C) $75,870. D) $75,600. E) $75,800. Assume the equity method is used.The following data are available pertaining to Gargiulo's income and dividends.
REFERENCE: Ref.05_05 Gargiulo Company,a 90% owned subsidiary of Posito Corporation,sells inventory to Posito at a 25% profit on selling price.The following data are available pertaining to intercompany purchases.Gargiulo was acquired on January 1,2009. Assume the equity method is used.The following data are available pertaining to Gargiulo's income and dividends. -Compute the income from Gargiulo reported on Posito's books for 2010. A) $76,500. B) $77,130. C) $75,870. D) $75,600. E) $75,800.
-Compute the income from Gargiulo reported on Posito's books for 2010.


A) $76,500.
B) $77,130.
C) $75,870.
D) $75,600.
E) $75,800.

Correct Answer:

verifed

Verified

Unlock this answer now
Get Access to more Verified Answers free of charge

Related Questions

Q38: REFERENCE: Ref.05_02
On January 1,2009,Pride,Inc.bought 80% of the

Q39: When comparing the difference between an upstream

Q40: An intercompany sale took place whereby the

Q41: REFERENCE: Ref.05_08
On January 1,2009,Smeder Company,an 80% owned

Q42: REFERENCE: Ref.05_05
Gargiulo Company,a 90% owned subsidiary of

Q44: REFERENCE: Ref.05_08
On January 1,2009,Smeder Company,an 80% owned

Q45: REFERENCE: Ref.05_07
On April 1,2009 Wilson Company,a 90%

Q46: Compute consolidated cost of goods sold.
A) $7,500,000.
B)

Q47: REFERENCE: Ref.05_07
On April 1,2009 Wilson Company,a 90%

Q48: Which of the following statements is true

Unlock this Answer For Free Now!

View this answer and more for free by performing one of the following actions

qr-code

Scan the QR code to install the App and get 2 free unlocks

upload documents

Unlock quizzes for free by uploading documents